He said: “The expansion of the store would undoubtedly mean the end of the town centre. Over the past decade many shops have closed and this must be linked to Tesco in the town.”

Councillor Martyn James, who represents Ystrad Mynach on Caerphilly County Borough Council, said: “We are happy at the decision and hope if the plan goes to the planning inspector for Wales that they see sense and do not pass it.

“I hope they consider the adverse affect that the expansion would have on the town centre traders.”

A spokesman for Tesco said: “We are disappointed at that decision to refuse the plan. We will be considering our options and continue to talk to the community.”